Why 100% bonus depreciation speeds up cobot palletizer ROI

For small and medium manufacturers, every dollar matters. Between labor shortages, rising wages, and customer delivery pressures, the cost of doing nothing can be higher than the cost of investing in automation.

Now, thanks to recent changes in U.S. tax law, that decision just got even easier. The One Big Beautiful Bill Act (OBBBA) has permanently reinstated 100% bonus depreciation for qualifying manufacturing equipment acquired after January 19, 2025.

And yes, this includes cobot palletizers.

What bonus depreciation means for you

Traditionally, manufacturers wrote off equipment over five to seven years. Bonus depreciation changes that.

Buy a cobot palletizer today, place it in service this year, and you can deduct the entire purchase price immediately.

• Invest $100,000 in a palletizing solution
• Deduct $100,000 from taxable income the same year
• At a 25% combined tax rate, that’s $25,000 in savings right away

It’s not just a tax break; it’s an instant boost to cash flow.

Why cobot palletizers qualify

The IRS classifies robotic systems as machinery and equipment under Section 168(k), which makes them eligible. That means whether you’re automating a single end-of-line or scaling across multiple plants, the tax benefits apply.

Key requirements are simple:

• The palletizer must be qualified manufacturing property
  
• It must be acquired after January 19, 2025
  
• It must be placed in service within the tax year

Once those conditions are met, you lock in the benefit.

Turning savings into ROI

Combine the tax savings with the operational gains of a cobot palletizer, and the numbers speak for themselves.

• Reduced labor costs: Offload repetitive, high-turnover tasks to automation
• Lower ergonomic risks: Keep your people safe from heavy lifting
• Increased throughput: Stack consistently, 24/7
• Fast payback: With bonus depreciation, first-year costs often fall below the annual salary of a single operator

The result: palletizers that essentially pay for themselves from day one.

Bonus depreciation vs. other financing options

You may already be familiar with Section 179 expensing or traditional depreciation. The difference now is scale and speed.

• Bonus depreciation: 100% deduction in Year 1, no dollar limits, applies to all qualifying equipment
• Section 179: Also allows immediate expensing, but capped at $2.5M annually (phasing out at $4M)
• Traditional depreciation: Write-offs stretched over years, delaying cash flow

For most manufacturers, bonus depreciation provides the fastest path to positive cash flow when investing in palletizing.

Why this matters now

The challenges facing manufacturers—labor shortages, high turnover, and tight margins—aren’t going away. Cobot palletizers give you a way to stay competitive, and the tax code now makes the decision even easier.

By acting decisively, you can:

• Secure the tax savings in the same year you invest
• Reduce the true cost of automation
• Free up cash to reinvest in growth

The bottom line

With 100% bonus depreciation now permanent, cobot palletizers aren’t just an operational win. They’re a financial advantage.

Robotiq Palletizing Solutions are built to be compact, easy to use, and fast to deploy, so you don’t just qualify for the tax break; you get a system that drives value on your plant floor from day one.

Want to see how this could work in your factory?

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